A List of Value Screens from Industry Legends

In an article from 2014, AAII Journal offers a list of five stock selection rules for value stocks which it derived from some of Wall Street’s most celebrated and successful investors. “If you look at the approaches of these gurus and stock market experts,” the article says, citing Benjamin Graham, Warren Buffett, David Dreman, John Neff and others, “you will quickly notice that successful approaches within a given investment style tend to have similar elements.”… Read More

Survey: How the Financial Crisis Changed Investor Behavior

The AAII Journal recently reported on a survey it conducted to evaluate what lasting impact the 2007-2009 financial crisis has had on its members’ investing decisions. Here are highlights of the results from 227 member respondents: 46% indicated that they changed their investment strategy or portfolio allocation; 22% described themselves as having become more cautious, patient or adoptive of a more conservative approach; More than 8% said they pay more attention to the market; Nearly… Read More

It’s Time To Get Into The Rebalancing Act

By John P. Reese — If it ain’t broke, don’t fix it can be a useful mantra in many walks of life, but investors should be wary when applying this idea to asset allocations. Movements in the market can shift allocations and result in concentrations that might not necessarily fit your risk profile and/or investment goals. Suppose, for example, you create a portfolio comprised of 60% stocks and 40% bonds. If stocks see a period of… Read More